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Notes from the Dome: An obstruction investigation request, community grant cuts and credit rating kerfuffle

Author of the article:

Janet French, Lisa Johnson

Publishing date:

December 5, 2019 • 3 minute read

Flanked by and leaders of Edmonton community leagues and other grassroots groups, NDP culture critic Nicole Goehring, joined by NDP Leader Rachel Notley, said government cuts to some community grants threaten key programs and services the groups offer. She spoke during a press conference at the legislature in Edmonton Wednesday, December 4, 2019. Janet French/Postmedia/ EdmontonPoliticians engaged in a blame game Wednesday over Moody’s downgrade of the province’s credit rating.

Opposition NDP leader Rachel Notley said Moody’s cited the United Conservative Party government’s corporate tax cut and lack of economic diversification from oil and gas as risks that prompted Tuesday’s rating drop.

Distroscale

Finance minister Travis Toews said the downgrade reinforces government’s need to stick to its four-year plan, which calls for spending reductions to balance the budget by 2022-23.

“Obviously it’s not welcome news,” Toews told reporters Wednesday. “When we take a look at the reasons Moody’s cited, primarily perceived weakness in the energy industry over a lack of pipeline access and energy egress, we know where we need to be focused.”

He said the former NDP government left the province with a “structural deficit,” where program spending exceeds revenue.

The Moody’s assessment also noted that environmental considerations were material to Alberta’s credit profile and the environmental risk high.

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“Alberta’s oil and gas sector is carbon intensive and Alberta’s greenhouse gas emissions are the highest among provinces,” the report said.

In question period, Notley said the downgrade was evidence the government’s economic plans are failing. Premier Jason Kenney quoted statements from banks and economists praising the government’s budget.

“I’ve got news for the NDP leader,” he said. “She left this province in a recession with a jobs crisis and a fiscal crisis.”

Worried community leagues

Flanked by leaders of Edmonton community leagues and other grassroots groups, NDP culture critic Nicole Goehring said government cuts to some community grants threaten key programs and services the groups offer.

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The provincial budget reduced funding to the Community Facility Enhancement Program and Community Initiatives Program, she said, and legislation could eliminate a provincial lottery fund and plop the money into general government coffers.

Although government insists lottery funds will still be available to community groups, Goehring said they could redirect them with little notice.

Greg Lane, who sits on the McCauley Community League, said three-quarters of their funding comes from the lottery fund. They operate a rink that serves as a gathering space and outreach centre for the low-income area, he said.

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“The loss of funding would see the end of many smaller leagues like the one I represent in Edmonton’s inner city,” he said. “It would silence the voice of community that wants and very much has a right to be heard.

“It feels like this is a directed attack against communities in an attempt to quiet those who would speak up for their neighbours.”

Minister of Culture, Multiculturalism and Status of Women Leela Aheer said the government will be able to earn interest on the $1.4-billion lottery money while it’s in the general revenue fund. That interest can help pay down debt, she said.

She said community groups are “amazing” and provide valuable services.

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“We know the fiscal crisis we’re in, and so dollars that we have, we’re going to spread them as far as we can to help out as many communities as we can,” Aheer said.

Call for police investigation into commissioner firing

National accountability watchdog Democracy Watch on Wednesday wrote to Alberta RCMP to request police investigate the UCP government for firing former election commissioner Lorne Gibson. Group co-founder Duff Conacher asked police to investigate the premier and cabinet for alleged obstruction of justice for terminating Gibson while his office may have been in the midst of investigating irregularities in the UCP’s 2017 leadership race.

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Gibson has levied more than $211,000 in fines against people and organizations that violated election laws during the 2017 race to lead the newly amalgamated party.

To much outcry, government passed a bill last month that terminated Gibson and moved the election commissioner position into the office of the chief electoral officer. Although the government said saving money was its motivation, the chief electoral officer last week asked for $78,000 more next year to fund the work of both offices.

Government house leader Jason Nixon said Wednesday that Democracy Watch should familiarize itself with legislative powers.

“I see the irony (of) Democracy Watch having any concerns with a democratic decision that’s made by an elected body by the majority of Albertans inside this place,” Nixon said.

He pointed to the chief electoral officer’s statements that investigations are still ongoing and the independence of his office has been maintained.